Roland Perry wrote:
at 10:07:03 on Mon, 27 Feb 2012, Stephen Sprunk remarked:

Note that failure of the consumer to pay their credit card bill does
_not_ result in a chargeback, contrary to Adam's ridiculous claims.

Indeed, as long as the failure to pay was "because I have no money",
rather than "because I dispute the charge".

When a customer disputes a credit card or charge card transaction, it is
removed from their bill until the matter is resolved, so it doesn't fit
the usual definition of "unpaid".

Nor is it "paid". If the card company finds in favour of the consumer,
I'm sure the merchant doesn't get paid, whether the transaction was
originally authorised or not.

If authorized, the merchant is paid if the dispute is due to third party
fraud. This is why they go through the authorization step, and don't just
submit credit slips for unauthorized transactions that don't require
purchase of very expensive cash register terminals. If the merchant is
at fault, say for services not rendered, he's not paid. He can still go
after the consumer directly, but not through his credit card.